Sensex sheds another 386 pts, closes below 10k level

Mumbai, Nov 6 (PTI) The bourses extended their losses to
second consecutive day, pulling down the bellwether Sensex
below 10k Thursday in sync with slipping global markets amid
heightened worries about a global recession, coupled with
domestic inflation rate rising marginally.

Market participants said concerns over a slowdown took
the centre-stage in global markets after Wednesday's dismal
U.S. economic data.

In an otherwise choppy trade, the Bombay Stock Exchange
30-share barometer settled the day at 9,734.22, a net fall of
385.79 points or 3.81 percent from its previous close.

The broader 50-share Nifty of the National Stock Exchange
also dived by 102.30 points or 3.42 percent to close at
2,892.65 from its last close.

In Asian markets, South Korea's Kospi ended down 7.56
percent, Hang Seng 7.08 percent, Nikkei 6.53 percent, Taiwan's
index 5.71 percent and Shanghai Composite 2.44 percent.

European markets were sharply lower by about 3.0 to 3.5
percent in their early trade.

They said bears began to tighten their grip on the market
as inflation rose to 10.72 percent for the week ended October
25 and the credit flow remained tight despite a slew of
measures by the government and financial market regulator.

Metal sector was the day's worst hit segment with the
B.S.E. metal index falling by 8.41 percent after world's
largest steel maker ArcelorMittal reported poor earnings
outlook for the fourth quarter.

Also, R.I.L's denial on the closure of its five polyester
and petrochemical plants failed to prevent further slide in
its stocks, which tumbled by 7.7 percent, in addition to
yesterday's 12.76 per cent fall.

According to analysts, the market is dependent on the
overseas positive news and might consolidate in the current
range before making any move either side.

Key metal stocks such as Tata Steel fell by 13.67
percent, Sterlite by 11.33 percent, J.S.W.S.L. by 10.80
percent, Hindalco by 7.50 percent and Jindal Steel by 6.02
percent.

Major losers from the Sensex pack were Tata Motors (12.17
percent), Bharti Airtel (6.62 percent), Wipro (6.31 percent),
Infosys Tech (5.50 percent), H.D.F.C. (5.38 percent), Rel
Comm (4.63 percent) and S.B.I. (4.58 percent).

The gainers included Jaiprakash Associates 4.10 percent,
Ranbaxy Lab 3.72 percent, H.U.L. 3.05 percent and D.L.F. 2.46
percent.

The market breadth remained extremely negative with 1,624
losers against 877 gainers on the B.S.E.

The trading volume stood at Rs 4,010.92 crore. R.I.L. was
the top traded scrip with the highest turnover of Rs 391.47
crore followed by Reliance Capital (Rs 202.92 crore), S.B.I.
(Rs 173.15 crore), I.C.I.C.I. Bank (Rs 165.32 crore) and the
newly listed Alkali Metals (Rs 161.38 crore).

The broad-based B.S.E.-100 Index tumbled further by
179.44 points or 3.48 percent to 4,982.04 from its previous
close.

The B.S.E.-200 Index and the Dollex-200 were quoted lower
at 1,157.29 and 405.29 at close compared to their last close
of 1,196.66 and 421.38 respectively.